27 September
2017
Doriemus PLC
(“Doriemus” or the
“Company”)
Interim Results for the six months to
30 June 2017
Doriemus PLC (NEX: DOR), the London quoted UK focused oil and gas
production and exploration Company, today announces its interim
results for the 6-month period ended 30 June
2017.
2017 has seen significant advances towards oil production from
both our interests in Brockham and Lidsey oil fields in the UK’s
onshore Weald Basin near London’s Gatwick Airport (including the
commencement of the drilling the second production well at the
Lidsey oil field on or about 12 September
2017). 2017 has also seen developments at the Horse Hill
licence area in which the Company has an equity interest which are
detailed further in these interim results.
Overview:
The Company has an interest in three valuable oil and gas assets
in the new UK onshore oil province centered around the new
Kimmeridge oil discoveries in the Weald Basin south of London. We firmly believe that all of these
assets hold a real chance of being real UK onshore producing oil
fields over the coming year with Doriemus set to benefit
significantly from the potential positive cash flow from the sale
of oil produced from the Brockham and Lidsey oil fields which are
targeting increase production by the end of 2017. We also believe
that the new oil production from the Weald Basin may well prove to
be of significant strategic importance to the UK in the years to
come, especially considering the recent declines seen in the UK’s
North Sea offshore oil production and as the country moves to
separate from the European Union, making indigenous oil production
potentially more important.
Brockham Oil Field:
(Doriemus holds a direct 10% interest
Brockham, operated by a subsidiary of Angus Energy Plc, Angus
Energy Weald Basin No. 3 Limited, the “Operator” or “Angus
Energy”)
The 8.9km2 Brockham Oil Field (“Brockham”), in the
Weald Basin, is held under UK Licence PL235 (Production
Licence).
On 3 March 2017, it was announced
that the Brockham X4Z well, designed to evaluate the Portland,
Corallian and Kimmeridge formations at Brockham (including an
evaluation of the Kimmeridge reservoir that had been demonstrated
by the Horse Hill discovery only 8km to the South), was drilled to
a total depth of 1,391m.
The Brockham X4Z well was intended to establish whether the
reservoir reported at the adjacent Horse Hill discovery extended
further north into the Brockham Licence.
The preliminary results from Brockham X4Z well confirmed very
similar thickness of reservoir and properties to those reported at
Horse Hill. The gross thickness of Kimmeridge in Brockham X4Z was
found to be 385m thick. The two limestone intervals (each around
30m) tested in Horse Hill are also seen in the Brockham well and
the reservoir properties appear to be very similar to Horse Hill,
based on electrical logging evidence.
The Operator used Weatherford’s Ultra Wave Acoustic borehole
imaging tool for first time in Europe. This tool made it possible to directly
see fractures in the borehole. The Ultra Wave information confirmed
not only evidence of natural fractures in the two main limestones
intervals previously tested at Horse Hill, but also confirmed
abundant natural fractures were evident in sections of the
interbedded shales and limestones between and below the two main
limestones. Around 200m of the reservoir showed this potential.
Geochemical analysis on the drilling samples showed total
organic content through the Kimmeridge section of between 2-12%,
exceeding Horse Hill in places. Furthermore, evidence showed that
the highest organic content corresponds to the limestones and, in
particular, the intervals in between the limestones which have
natural fracturing. Whilst organic content is not the same as oil
content, it is indicative of those sections where oil content will
be the highest. This supports the potential for some 200m of
reservoir of interest. Initial Tmax and Hydrogen Index readings
also corresponded with Horse Hill’s data.
Therefore, based on the evidence so far, the Operator has
confidence that the well will be similar to Horse Hill and perhaps,
given that the reservoir is potentially much thicker in zones not
previously tested, the final flow results could potentially be even
better.
In addition, oil shows were observed in the Portland and
Corallian formations whilst drilling the Brockham X4Z well.
Currently, the Brockham number 2 well is a temporarily suspended
producer from the Portland reservoir and the Operator is confident
of additional oil production from the Portland reservoir from the
Brockham X4Z well in due course. The good indications of both gas
and oil in the Corallian formation, below the Kimmeridge, is still
being evaluated.
After a major surface refit of the site infrastructure to
accommodate extra oil production, steps are now in hand to install
new production facilities for the well and to prepare for the
production as soon as the necessary UK Oil and Gas Authority
(“OGA”) approvals are in place.
The expiry date for PL 235 has been extended to at least
December 2019.
Lidsey Oil Field:
(Doriemus holds a direct 20% interest
in the onshore Lidsey Oil Field, also operated by Angus Energy)
The 5.3km2 Lidsey Oil Field (“Lidsey”), is located in
the southern portion of the UK’s onshore Weald Basin, and is held
under UK Licence PL 241 (Production Licence).
On 2 May 2017, the Operator
announced that following the West Sussex County Council approval,
it had also received permission from the UK Environment Agency to
drill the Lidsey-X2 horizontal production well at the Lidsey
production oil field, license PL 241.
On 9 August 2017, the operator of
the Lidsey onshore oil field, Angus Energy advised that they
received permission from the OGA to drill and then produce from the
Lidsey-X2 horizontal production well at its Lidsey production oil
field. From this date Angus Energy held all regulatory consents
required to drill and produce from Lidsey-X2. On 8 September 2017 the Operator confirmed that the
drilling rig had arrived on location at Lidsey and was in the
process of rigging up and undergoing pre-rig acceptance.
On 13 September 2017 it was
announced that drilling of Lidsey X2 well had commenced.
The Lidsey Oil Field has planning consent for the development
and operation of a three wellhead and beam pump oil production
facility plus ancillary works at its Lidsey Oil Field. As permitted
by the site planning consent, the first well has already been
drilled at the site (Lidsey-X1) and the tophole/cellar is completed
and installed to enable a second well to be drilled
(Lidsey-X2).
Lidsey X2 is planned to be drilled to a depth of approximately
1,000 metres and will target the upper crest of the Great Oolite
reservoir that has been producing oil from the Lidsey-X1 well which
was first discovered in 1987, and until now has been temporarily
suspended back in February 2016 to
allow for site works. Lidsey-X2 will also assess the Kimmeridge
formation which is located above the Great Oolite reservoir.
The expiry date for PL 241 has been extended to at least
December 2024.
Investment in Horse Hill Developments
Limited (“HHDL”):
(Doriemus holds a 10% interest in HHDL. Operated by HHDL)
The Company currently owns a 10% equity interest in a special
purpose company, Horse Hill Developments Limited, which is the
operator and 65% interest holder in two Petroleum Exploration and
Development Licences (“PEDL”) PEDL137 and PEDL246 in the northern
Weald Basin between Gatwick Airport and London.
The PEDL137 licence covers 99.29 square kilometres (24,525
acres) to the north of Gatwick Airport in Surrey and contains the Horse Hill-1 (“HH-1”)
discovery well. PEDL246 covers an area of 43.58 square kilometres
(10,769 acres) and lies immediately adjacent and to the east of
PEDL137.
The HH-1 well is located approximately 7.5 kilometres southeast
of Doriemus’s producing Brockham Oil Field.
As reported in March 2016, the
final total aggregate stable dry oil flow rate from two Kimmeridge
limestones plus the overlying Portland sandstone in HH-1 stands at
1,688 barrels of oil per day (“bopd”), a UK record for an onshore
discovery well. Over the 30 to 90 hour flow periods from each of
the 3 zones in HH-1, no clear indication of any reservoir pressure
depletion was observed.
The Company was informed by HHDL that it understood that its
planning application for long term production testing and further
appraisal drilling would be determined at a scheduled Surrey County
Council planning meeting by the end of 2017.
Investment in Greenland Gas & Oil Plc
(2.82% interest in GGO)
The Company currently owns 2.82% equity shareholding in
Greenland Gas & Oil Limited
(“GGO”), a UK based oil and gas exploration company focused solely
on Greenland, which in
June 2015 was granted the rights to
oil exploration and exploitation lover two licences located onshore
in south-eastern Greenland in a
region known as the Jameson Land Basin.
New Public Trading Platforms:
The Company is cognisant of the limited level of trading
activity of its shares on the NEX Exchange, and in order to address
this the Company is working with its advisors to achieve a
potential cross-listing on the Australian Securities Exchange
(“ASX”). A prospectus was lodged with the Australian
Securities and Investments Commission (“ASIC”) on
30 August 2017 (“Prospectus”)
and a listing application was lodged with the ASX on 31 August 2017 (“Listing
Application”).
The offer under the Prospectus opened to investors resident in
Australia on 7 September 2017 and as result of the receipt of
a strong flow of applications, the Company closed the offer
early on 19 September 2017. On
25 September 2017, the Company
announced that the ASX had approved the Listing Application and as
a result 13,461,539 new ordinary shares of 0.4
pence nominal value in the form of CHESS Depositary Interests
(“CDIs”) over the Company’s ordinary shares were allotted to
successful applicants under the offer in the Prospectus. On
26 September 2017, the Company
allotted a further 1,000,000 CDIs to certain nominees of Patersons
Securities Limited pursuant to their engagement as lead manager of
the offer under the Prospectus.
Subject to satisfying certain conditions precedent, the CDIs are
expected to commence quotation on the ASX on or about
Friday 29 September 2017.
Financial Results:
During the period, the Company made a loss before taxation of
£180,000 (6 months ended 30 June
2016: loss £243,000, 12 months ended 31 December 2016: loss £1,032,000). There was a
weighted loss per share of 0.002p (30 June
2016: loss per share 0.003p, 31
December 2016: loss per share 0.010p).
Outlook:
Oil Production on its way!
2017 and beyond should prove to be an exciting period ahead for
the Company and its shareholders as Doriemus moves towards being a
real contributor to new UK onshore oil production and being an
active player in opening up the ultimate potential of the Weald
Basin. The past few years has seen a significant amount of
shareholders’ funds spent on drilling and evaluating new oil wells
in the Weald Basin and it is now time to see oil production lifted
from the existing reservoirs as well as potentially any oil
discovered in the Kimmeridge near Gatwick Airport.
We will hopefully see our Brockham Oil Field producing
substantial amounts of oil from very wide pay intervals in the
Kimmeridge formation and will work closely with our partners on the
possibility of drilling a number of new production side-tracks and
new production wells once the Brockham X4Z well comes in to full
production.
We will continue to seek out further investments in line with
the Company’s investing strategy and will also work closely with
HHDL and Angus Energy on potentially increasing our oil production
and reserves from the existing operating fields. Also, as per our
investment strategy, the board will also look opportunistically at
investing in or acquiring, an appropriate percentage holding,
possibly including management, of a company or companies and
businesses in the global oil and gas sector.
The directors would like to take this opportunity to thank our
shareholders, staff and consultants for their continued
support.
The directors of the Company accept responsibility for the
contents of this announcement.
David Lenigas
Chairman
27 September 2017
For further additional information, please contact:
Doriemus plc
David Lenigas / Donald Strang |
+44 (0) 20 7440
0640 |
Peterhouse Corporate
Finance Limited
Nominated Adviser
Guy Miller / Fungai Ndoro |
+44 (0) 20 7469 0930 |
Optiva Securities
Limited
Company Broker
Christian Dennis / Jeremy King |
+44 (0) 20 3137 1902 |
Square1
Consulting
Public Relations
David Bick |
+44 (0) 20 7929
5599 |
Statement of Comprehensive Income
Unaudited for the six months ended 30 June
2017
|
Six months
ended
30 June
2017
(unaudited) |
Six months
ended
30 June
2016
(unaudited) |
Year
ended
31 December
2016
(audited) |
|
£’000 |
£’000 |
£’000 |
|
|
|
|
| Revenue |
- |
1 |
1 |
| Cost of Sales |
(25) |
(3) |
(54) |
| Gross Profit |
(25) |
(2) |
(53) |
|
|
|
|
| Administrative expenses |
(241) |
(239) |
(442) |
| Share based payment charge |
- |
- |
(207) |
| Depletion & impairment
charge |
- |
(2) |
(1) |
| (Loss) from operations |
(266) |
(243) |
(703) |
|
|
|
|
| Finance income |
- |
- |
- |
| (Loss) on equity swap
settlements |
- |
- |
(380) |
| Profit on disposal of AFS
investments |
25 |
|
|
| Unrealised gain on AFS
investments |
61 |
- |
51 |
| (Loss) before income tax |
(180) |
(243) |
(1,032) |
|
|
|
|
| Income tax expense |
- |
- |
- |
| (Loss) attributable to the owners
of the parent and total comprehensive income for the
period |
(180) |
(243) |
(1,032) |
|
|
|
|
| Other comprehensive
income |
|
|
|
| Fair value adjustment of equity
swap |
- |
(46) |
- |
| Transfer to income statement on
equity swap settlement |
- |
- |
314 |
| Other comprehensive income for
the period net of taxation |
- |
(46) |
314 |
|
|
|
|
| Total comprehensive income for
the period attributable to equity holders of the parent |
(180) |
(289) |
(718) |
|
|
|
|
|
|
|
|
| (Loss) per share (Note
2) |
|
|
|
| Basic (loss) per share |
(0.002)p |
(0.003)p |
(0.010)p |
| Diluted (loss) per share |
(0.002)p |
(0.003)p |
(0.010)p |
Statement of
Financial Position
Unaudited as at 30 June 2017
|
Note |
As at
30 June
2017
(unaudited)
£’000 |
As at
30 June
2016
(unaudited)
£’000 |
As at
31 December
2016
(audited)
£’000 |
|
|
|
|
|
| ASSETS |
|
|
|
|
| Non-current
assets |
|
|
|
|
| Intangible assets |
4 |
285 |
- |
250 |
| Oil and gas properties |
5 |
1,165 |
1,072 |
1,101 |
| Available for sale investment |
|
1,118 |
900 |
1,058 |
|
|
|
|
|
| Total non-current
assets |
|
2,568 |
1,972 |
2,409 |
|
|
|
|
|
| Current assets |
|
|
|
|
| Trade and other receivables |
|
1,673 |
667 |
730 |
| Cash and cash equivalents |
|
216 |
233 |
537 |
|
|
|
|
|
| Total current assets |
|
1,889 |
900 |
1,267 |
|
|
|
|
|
| TOTAL ASSETS |
|
4,457 |
2,872 |
3,676 |
|
|
|
|
|
| LIABILITIES |
|
|
|
|
| Current liabilities |
|
|
|
|
| Trade and other payables |
|
(1,222) |
(306) |
(261) |
| Derivative financial
instruments |
|
- |
(160) |
- |
|
|
|
|
|
| Total current
liabilities |
|
(1,222) |
(466) |
(261) |
|
|
|
|
|
| TOTAL LIABILITIES |
|
(1,222) |
(466) |
(261) |
|
|
|
|
|
| NET ASSETS |
|
3,235 |
2,406 |
3,415 |
|
|
|
|
|
| Equity attributable to equity
holders of the parent |
|
|
|
|
| Share capital |
|
125 |
77 |
125 |
| Share premium reserve |
|
5,221 |
4,038 |
5,221 |
| Share based payment reserve |
|
241 |
236 |
241 |
| Hedging reserve |
|
- |
(360) |
- |
| Retained earnings |
|
(2,352) |
(1,585) |
(2,172) |
|
|
|
|
|
| TOTAL EQUITY |
|
3,235 |
2,406 |
3,415 |
Statement of Changes
in Equity
Unaudited for the six months ended 30 June
2017
|
Share
capital |
Share
premium |
Share based payment
reserve |
Hedging
reserve |
Retained earnings /
Accumulated losses |
Total |
|
£’000 |
£’000 |
£’000 |
£’000 |
£’000 |
£’000 |
|
|
|
|
|
|
|
| At 31 December 2015 |
77 |
4,038 |
236 |
(314) |
(1,342) |
2,695 |
|
|
|
|
|
|
|
| Issue of Share capital |
48 |
1,278 |
- |
- |
- |
1,326 |
| Share issue costs |
- |
(95) |
- |
- |
- |
(95) |
| Share based payment charge |
- |
- |
207 |
- |
- |
207 |
| Share options cancelled |
- |
- |
(202) |
- |
202 |
- |
| Transactions with owners |
48 |
1,183 |
5 |
- |
202 |
1,438 |
| (Loss) for the year |
- |
- |
- |
- |
(1,032) |
(1,032) |
| Transfer to income statement |
- |
- |
- |
314 |
- |
314 |
| Total comprehensive loss for the
year |
- |
- |
- |
314 |
(1,032) |
(718) |
| At 31 December 2016 |
125 |
5,221 |
241 |
- |
(2,172) |
3,415 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| At 31 December 2015 |
77 |
4,038 |
236 |
(314) |
(1,342) |
2,695 |
|
|
|
|
|
|
|
| (Loss) for the period |
- |
- |
- |
- |
(243) |
(243) |
| Unrealised (loss) on equity
swap |
- |
- |
- |
(46) |
- |
(46) |
| Total comprehensive
loss for the period |
- |
- |
- |
(46) |
(243) |
(289) |
|
|
|
|
|
|
|
| At 30 June 2016 |
77 |
4,038 |
236 |
(360) |
(1,585) |
2,406 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| At 31 December 2016 |
125 |
5,221 |
241 |
- |
(2,172) |
3,415 |
|
|
|
|
|
|
|
| (Loss) for the year |
- |
- |
- |
- |
(180) |
(180) |
| Total comprehensive loss for the
year |
- |
- |
- |
- |
(180) |
(180) |
| At 30 June 2017 |
125 |
5221 |
241 |
- |
(2,352) |
3,235 |
Statement of Cash
Flows
Unaudited for the six months ended 30 June
2017
|
Six months
ended
30 June
2017
(unaudited)
£’000 |
Six months
ended
30 June
2016
(unaudited)
£’000 |
Year
ended
31 December
2016
(audited)
£’000 |
|
|
|
|
| Cash flows from
operating activities |
|
|
|
| Operating (loss) |
(266) |
(243) |
(703) |
| Adjustments for: |
|
|
|
| Depletion & impairment
charge |
- |
2 |
1 |
| Share based payment charge |
- |
- |
207 |
| (Increase) / decrease in trade and
other receivables |
(943) |
(230) |
(4) |
| Increase in trade and other
payable |
961 |
62 |
17 |
| Foreign exchange loss |
(1) |
- |
- |
| Net cash generated from operating
activities |
(249) |
(409) |
(482) |
|
|
|
|
| Cash flows from investing
activities |
|
|
|
| Payments for intangible assets /
OGP’s |
(64) |
(27) |
(106) |
| Loans (granted) to related
parties |
- |
(50) |
(289) |
| Payment for available for sale
Investment |
(145) |
- |
(157) |
| Proceeds from disposal of available
for sale assets |
137 |
- |
- |
| Net cash used in investing
activities |
(72) |
(77) |
(552) |
|
|
|
|
| Cash flows from financing
activities |
|
|
|
| Proceeds from issuance of ordinary
shares |
- |
- |
947 |
| Share issue costs |
- |
- |
(95) |
| Net cash used in financing
activities |
- |
- |
852 |
|
|
|
|
| Net (decrease) in cash and cash
equivalents |
(321) |
(486) |
(182) |
|
|
|
|
| Cash and cash equivalents at
beginning of period |
537 |
719 |
719 |
|
|
|
|
| Cash and cash equivalents at end
of period |
216 |
233 |
537 |
|
|
|
|
| Cash and cash equivalents
comprise: |
|
|
|
| Cash available on demand |
216 |
233 |
537 |
Notes to the unaudited financial
statements for the 6 months to 30 June
2017
1.Basis of preparation
The half-yearly results have not been audited, but were the
subject of an independent review carried out by the Company’s
auditors, Chapman Davis LLP. Their review confirmed that the
figures were prepared using applicable accounting policies and
practices consistent with those adopted in the 2016 annual report
and to be adopted in the 2017 annual report. The financial
information contained in this half-yearly report does not
constitute statutory accounts as defined by Section 435 of the
Companies Act 2006.
The half-yearly report has been prepared under the historical
cost convention.
The Directors acknowledge their responsibility for the
half-yearly report and confirm that, to the best of their
knowledge, the interim financial statements for the six months
ended 30 June 2017 have been prepared
in accordance with International Financial Reporting Standards,
including IAS 34 “Interim Financial Statements”, and complies with
the listing requirements for companies trading securities on the
NEX Growth market. This half-year report does not include all the
notes of the type normally included in an annual financial report.
Accordingly, this report should be read in conjunction with the
annual report for the year ended 31 December
2016.
The Directors are of the opinion that on-going evaluations of
the Company’s interests indicate that preparation of the accounts
on a going concern basis is appropriate.
The Interim Financial Information was approved by the Board of
Directors on 27 September 2017.
2.(Loss) per share
The calculation of the basic and diluted (loss) per share is
based upon
|
6 months ended 30
June
2017 |
6 months ended 30
June
2016 |
Year ended 31
December
2016 |
|
|
|
|
| Basic (loss) per share (pence) |
(0.002)p |
(0.003)p |
(0.010)p |
| Diluted (loss) per share
(pence) |
(0.002)p |
(0.003)p |
(0.010)p |
| (Loss) attributable to equity
shareholders |
(180,000) |
(£243,000) |
(£1,032,000) |
| Weighted
average number of shares basic |
12,526,285,711 |
7,739,999,998 |
8,528,596,407 |
| Weighted average number
of shares diluted |
13,296,285,711 |
8,129,999,998 |
9,298,596,407 |
3.Revenue and segmental
reporting
The company’s current revenue is all generated in the
United Kingdom from oil & gas
production in accordance with its farm-in agreements, within the
United Kingdom. However with this segment in its infancy, and
with the only major related transactions being the carrying value
of the oil & gas properties assets as described in note 5, no
further segmental analysis is deemed useful to disclose currently.
The revenue from this segmental was £nil (30
June 2016: £1,000, 31 December
2016: £1,000)
Subject to further acquisitions and developments, the company
expects to further review its segmental information during the
forthcoming financial year and update accordingly.
4.Intangible assets
| Licences & Exploration
costs |
30 June
2017 |
30 June
2016 |
31 December
2016 |
|
£’000 |
£’000 |
£’000 |
| Cost |
|
|
|
| Opening balance |
250 |
- |
- |
| Additions |
35 |
- |
250 |
| Closing balance |
285 |
- |
250 |
|
|
|
|
| Amortisation and
impairment |
|
|
|
| Opening balance |
- |
- |
- |
| Additions |
- |
- |
- |
| Closing balance |
- |
- |
- |
|
|
|
|
| Net book value |
285 |
- |
250 |
On 10 August 2016 the Company
entered into an agreement to acquire a 5% beneficial interest in
the onshore Isle of Wight oil
& gas licence “PEDL 331”, in the United Kingdom. Consideration paid for the
total 5% interest totalled £200,000. During 2016, the Company
incurred direct exploration costs in relation to the Company’s
investment in Greenland Gas &
Oil Ltd, and its respective exploration licences, and a further
£35,000 during 2017.
Impairment Review
At 30 June 2017, the directors
have carried out an impairment review and have considered that no
impairment write-down is required (30 June
2016: £nil, 31 December 2016:
£nil). The directors are of the opinion that the carrying value is
stated at fair value.
5.Oil & gas properties
|
30 June
2017 |
30 June
2016 |
31 December
2016 |
|
£’000 |
£’000 |
£’000 |
| Cost |
|
|
|
| Opening balance |
1,106 |
1,051 |
1,051 |
| Additions |
64 |
25 |
55 |
| Closing balance |
1,170 |
1,076 |
1,106 |
|
|
|
|
| Depletion &
impairment |
|
|
|
| Opening balance |
5 |
4 |
4 |
| Additions |
- |
- |
1 |
| Closing balance |
5 |
4 |
5 |
|
|
|
|
| Net book value |
1,165 |
1,072 |
1,101 |
Impairment review
The Oil & Gas properties comprise the 20% participating
interest in the Lidsey Oil Field, in the United Kingdom and the 10% participating
interest in the Brockham Oil Field, also in the United Kingdom.
At 30 June 2017, the directors
have carried out an impairment review and have considered that no
impairment write-down is required (30 June
2016: £nil, 31 December 2016:
£nil). The directors are of the opinion that the carrying value is
stated at fair value. The Directors based this assessment on
continuing operational work schedules that are ongoing to improve
operational efficiencies.
6.Events after the end of the
reporting period
On 6 July 2017, the Company
announced that the 1,100,000,000 ordinary shares of 0.001p each in
the Company currently held in the Doriemus Employee Benefit Trust
(“EBT”) have been allocated to the beneficiaries of the EBT
following satisfaction of the required performance and vesting
conditions. Following these allocations, the EBT was
closed.
On 10 July 2017, the Company
announced that it has a right to a 30% interest in the proposed new
Lidsey-X2 oil production well (representing an additional 10%
interest on this initial well given the Company’s 20% interest in
the Lidsey Oil Field). As determined by the Doriemus farm-out
agreement with Angus Energy Plc of 21 November 2013. The
Company had also completed a fundraising of £650,000 through the
issue of 1,857,142,568 new Ordinary Shares of 0.001p each in the
Company at a placing price of 0.035
pence per share with private investors to meet the
additional expenditure obligations that the Company is expecting
whilst drilling this well and putting it into production.
On 28 July 2017, the Company
announced that the 14,383,428,279 ordinary shares of 0.001 pence each (“Existing Ordinary Shares”)
that were in issue had been approved for consolidation into
35,958,570 ordinary shares of 0.4
pence each (“New Ordinary Shares”). Such New Ordinary Shares
will have the same rights and be subject to the same restrictions
(save as to par value) as the Existing Ordinary Shares.
On 25 August 2017, the Company
announced that Grant Roberts, a
Non-Executive director, has resigned from the Board of
Directors.
On 30 August 2017, the Company
advised that it had filed a Prospectus with the ASIC in connection
with the Company's proposed cross-listing on the ASX. A copy of the
Prospectus is available on the Company's website for potential
eligible investors who are resident in Australia. The Offer under the Prospectus
opened to eligible investors on or about 7
September 2017.
On 18 September 2017, further to
the announcement on 30 August 2017,
the Company advised it was bringing forward the closing date of the
Offer under the Company’s Prospectus to 19
September 2017.
On 25 September 2017, further to
the announcement on 18 September
2017, the Company advised that the ASX had approved the
Listing Application and as a result 13,461,539 new ordinary shares
of 0.4 pence nominal value in the form of CHESS
Depositary Interests (“CDIs”) over the Company’s ordinary
shares to successful applicants under the offer in the Prospectus.
On 26 September 2017, the Company
allotted a further 1,000,000 CDIs to certain nominees of Patersons
Securities Limited pursuant to their engagement as lead manager of
the offer under the Prospectus.
7.Availability of the Interim
Report
Copies of the report will be available from the Company’s
registered office and also from the Company’s website
www.doriemus.co.uk.
INDEPENDENT REVIEW REPORT TO DORIEMUS
PLC
Introduction
We have been engaged by the Company to review the interim
financial statements for the six months ended 30 June 2017 comprising the Statement of
Comprehensive Income, Statement of Financial Position, Statement of
Changes in Equity, Statement of Cash Flows, and related
notes. We have read the other information contained in the
interim report and considered whether it contains any apparent
misstatements or material inconsistencies with the information in
the interim financial statements.
This report is made solely to the Company in accordance with
guidance contained in ISRE 2410 (UK and Ireland) “Review of Interim Financial
Information Performed by the Independent Auditor of the Entity”
issued by the Auditing Practices Board. Our work has been
undertaken so that we might state to the company those matters we
are required to state in an independent review report and for no
other purpose. To the fullest extent permitted by law, we do not
accept or assume responsibility to anyone other than the Company,
for our work, for this report, or for the conclusions we have
formed.
Directors’
Responsibilities
The half-yearly financial report is the responsibility of, and
has been approved by the Directors. The Directors are
responsible for preparing the half-yearly financial report in
accordance with the rules of the NEX Exchange Ltd for Companies
trading securities on the NEX Growth Market. As disclosed in
Note 1 the annual financial statements of the Company are prepared
in accordance with IFRSs as adopted by the European Union.
The condensed set of financial statements included in this
half-yearly financial report have been prepared in accordance with
International Accounting Standard 34 “Interim Financial Reporting”
as adopted by the European Union.
Our
Responsibility
Our responsibility is to express to the Company a conclusion on
the half-yearly financial report based on our review.
Scope of
Review
We conducted our review in accordance with International
Standard on Review Engagements (UK and Ireland) 2410, “Review of Interim Financial
Information Performed by the Independent Auditor of the Entity”,
issued by the Auditing Practices Board for use in the United
Kingdom. A review of interim financial information consists
of making inquiries, primarily of persons responsible for financial
and accounting matters, and applying analytical and other review
procedures. A review is substantially less in scope than an
audit conducted in accordance with International Standards on
Auditing (UK and Ireland) and
consequently does not enable us to obtain assurance that we would
become aware of all significant matters that might be identified in
an audit. Accordingly, we do not express an audit
opinion.
Conclusion
Based on our review, nothing has come to our attention that
causes us to believe that the condensed set of financial statements
in the half-yearly financial report for the six months ended
30 June 2017 is not prepared, in all
material respects, in accordance with International Accounting
Standard 34 as adopted by the European Union and the Disclosure and
Transparency Rules of the United
Kingdom's Financial Conduct Authority.
CHAPMAN DAVIS LLP
Chartered Accountants
2 Chapel Court
London SE1 1HH
27 September 2017